Tungsten Market in the Doldrums Consolidating at Lows, Tungsten Scrap Stabilized, Industry Policies Providing Support [SMM Tungsten Daily Review]
[SMM Tungsten Daily Review: Tungsten Market in the Doldrums Consolidating at Lows, Scrap Tungsten Stabilized, Industry Policies Providing a Floor] SMM May 12:
Recently, the tungsten market retreated from highs and continued to be in the doldrums. The price spread between upstream raw material long-term contracts and spot cargo spot orders continued to widen. Long-term contract quotes were repeatedly lowered, but the decline remained smaller than spot market spot order transaction prices. Wait-and-see sentiment was strong in the market, with very few transactions. On May 11, an enterprise in Guangdong canceled its fixed long-term contract pricing for the first half of May and switched to market-based negotiated pricing, shifting pricing power closer to the spot market. This intensified wait-and-see sentiment in the short term while also making raw material pricing more flexible. After a deep decline in the earlier period, scrap tungsten stopped falling and stabilized, rebounding slightly. Suppliers held back from selling at low prices, providing some support to the market.